Understanding Business Organisation: Premier Inn Hotel Analysis

Understanding
Business Organisation

Table of Contents
INTRODUCTION ..........................................................................................................................3
TASK...............................................................................................................................................3
Organisational structure of Premier Inn hotel.............................................................................3
PESTLE Analysis............................................................................................................................4
SWOT Analysis ..............................................................................................................................5
CONCLUSION ...............................................................................................................................6
REFERENCES................................................................................................................................8

INTRODUCTION
In today's competitive world, it is necessary to understand business organisation in a
strategic manner. Business organisation is an entity which is formed for purpose of selling their
products and service to customers in exchange of money and to satisfy demand of customers.
This report contain analysation of Premier Inn Hotel which is an international hotel chain of
United Kingdom (Akhtar and Sushil., 2018). Premier Inn Hotel was founded in year of 1987
which has around 72000 rooms. It is one of largest organisation as it has over eight hundred
branches in all over the world. This organisation is providing world class services to different
customers which enhance their experience. This report covers analysis about organisational
structure of Premier Inn Hotel which includes detail of ways in which activities are directed
towards attainment of goals of company. It consist description of external and internal factors
which create its impact on business due to COVID-19 situation.
TASK
Organisational structure of Premier Inn hotel
An organisational structure is that type of structure which outlines certain activities are
directed in order to achieve the goals of an organisation. These activities can be rules,
responsibilities and roles. Organisational structure also determines how information needs to
flow between different levels within the company.
Types of organisational structure
There are two types of organisational structure including tall structure and flat structure.
This has been described into following manner:
Tall structure: Tall organisation structure is divided into small parts or groups as it
contains many managers which controls small group of employees. Under this head, manager is
responsible for their group task and needs to reports to their senior level management and CEO
of company.
Flat structure: Flat structure is one where there are few level of management in
organisation. This structure empower employees and also provide them sense of responsibility
and autonomy(Bag., 2018).This type of organisational structure is not suitable for large
organisaiton and is only works in small organisation which has small work force.

In order to attract large number of customers, the Premier Inn hotel follows tall structure for
fulfilling best business practices.(Premier Inn organisation structure).This organisation has
nearly 700 hotel and it is not possible for CEO of company to conduct all operations of hotel .
For this, there are several managers who manage their business functions. This structure provide
benefits for business of Premier inn as it ensures that there is no misunderstanding in their
organisation between different managerial level. To accomplish various goals hotel has to
follow a precise business strategy with support of professional management (Brenkert., 2019).
For making mutual business decisions, it is important that management of hotel follows
democratic leadership style. In order to develop different dimensions into the market place,
Premier Inn hotel has followed the tall business structure. Premier Inn hotel top level
management divide different tasks and responsibilities to the department on the basis of different
functions.
Illustration : Tall Hierarchical Structure
Source : Hierarchical Structure